Digital World's Shares See a Lot of Action

Digital World's (NASDAQ: DWAC; DWACW) shares are seeing a lot of action in the recent past and will likely continue to do so in the future as well.

The company is also facing an investigation. Kaplan Fox & Kilsheimer LLP is investigating claims on behalf of Digital World Acquisition Corp investors. On September 8, 2021, Digital World announced the closing of its IPO (Initial Public Offering) of 25 million units at $10 for each unit.

A few days after, on October 21, 2021, there was news that Digital World had entered into a deal to merge with Trump Media & Technology Group ("TMTG"). Soon after that news broke, the price of Digital World shares rose by nearly 357% and closed at $45.50 per share. The next day, it continued to increase by more than 100% and closed at $94.20 per share.

Fast forward a few more days, and on October 29, 2021, an article entitled "Trump's $300 Million SPAC Deal May Have Skirted Securities Laws" was published by a major media outlet. On November 1, Digital World's stock declined 6.93% per share and closed at $60.82 per share.

On May 16, 2022, Digital World disclosed that it received a document request and subpoena from the US SEC (Securities and Exchange Commission) in connection with an SEC investigation regarding evaluating potential targets, including TMTG, among other things. The disclosure was made in the company's Form S-4 filing with the SEC.

On June 13, 2022, major media outlets unveiled that the SEC investigation had expanded and issued another subpoena with regard to the planned merger with TMTG. After those news reports, the stock price of Digital World fell 13.2% and closed at $38.01 for each share on the same day. It declined further on June 14, 2022, and closed at $27.30 per share.

On July 12, Digital World Acquisition Corp (DWAC) shares retreated and ended the day 2.95% lower at $28.58 per share. The shared had added more than 20% on the previous day. Wall Street tried to turn positive but couldn't. The three major indexes closed the day in the red. Right after the opening, equities rose primarily because of a White House memo noting that the US macroeconomic data, including the June jobs report, weren't consistent with a recession. The document also stated that the "labor market strength puts the US in a better position than many other countries to transition to lower inflation and steady growth."

However, the advance didn't last long, and stocks fell one hour ahead of the close as fears remained. The US is expected to report that the June Consumer Price Index has reached 8.8%, which would be a new multi-decade high.

Some analysts are positive that energy price pressures have receded in June, so inflation will come down from its record peak. If you are interested in stock market updates, you can check this link daily.

Also, know more about Digital World Acquisition Corp here.


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